What is a service call and why is it so high?

In the heating and air conditioning business, and the service business in general, we have a term referred to as a “service call”. It’s probably our most commonly used service term.

But what is it exactly? And what about the fee associated with it?

I’m glad you asked!

A service call is simply a service that is rendered when a homeowner or business owner has a problem or malfunction that they need examined or diagnosed. 

For example: Let’s say that an owner of a restaurant is having a problem with his air conditioning unit. It isn’t blowing cold air in the middle of the summer, and it’s creating discomfort for his customers. This individual would probably call a HVAC service company to have them come out to diagnose the problem with the AC system.

This would be considered a service call.

This is would apply to any service that is needed. Whether it’s heating and air conditioning related or electrical, plumbing, refrigeration etc.

A service is needed. A service company is called to come out and provide that service. Fairly simply right?

What about the fee?

A service call fee is the fee that is charged in order for the service technician(s) to come out and perform the service. Normally, the fee is meant to cover common expenses associated with each service call. Some of the areas of expenses include travel expenses and travel time, service vehicle expenses, and labor expenses.

For example, our fee is actually two fees combined: the trip charge fee and the service fee. The trip charge fee covers the time, gas/mileage, and typical vehicle expense items. The service fee covers the actual service and labor performed on site.

Each HVAC service company has their own fee that they charge. This fee can vary from company to company, depending on many factors. Some service companies will charge a standard or flat rate for all locations within their service radius. But, other service companies will charge a fee that is specifically suited to the particular service call location. Therefore, the fee would vary from location to location depending on the mileage it takes to get to each location.

For example: At Next Gen HVAC, we charge a standard $80 fee for a service call that includes our main area of service, which is Syracuse, NY and surrounding areas. This fee includes both the travel time/mileage (trip charge fee), vehicle maintenance, gas etc.

After doing some research we have found that our fee is fairly low compared to the average service call fee. They can range anywhere from $80 up to $150 and even more.

Note: Most service call fees do not cover labor, material and/or parts costs, if they are needed. Our service call fee is a one time charge for the first visit and good for 30 days after that.

We hope this information has given you a better basic understanding of service calls and the fees associated with them. We want our customers to understand our services and what’s included.